Atlas Copco this week initiated negotiations with unions regarding a plan to relocate production of light compaction equipment from Ljungby, Sweden, to Rousse, Bulgaria, affecting 69 employees in Sweden.

“Atlas Copco continuously reviews the manufacturing set-up to assure the group’s competitiveness,” said Björn Rosengren, business area president, Construction and Mining Technique. “The considered plan is in line with our ambition to constantly improve the operational efficiency and make sure our production is cost competitive.”

If the plan is approved the relocation of the operations from Sweden could be finalized by the end of 2011. In Bulgaria, the factory would need to be extended in order to house the new production line and current machining would be outsourced to sub-suppliers.

Atlas Copco’s Construction and Mining Technique business area develops, manufactures, markets and services rock drilling tools, construction and demolition tools, mobile crushers and screeners, drill rigs and equipment.

Stockholm, Sweden-based Atlas Copco is an industrial group with positions in compressors, construction and mining equipment, power tools and assembly systems.